Biden-Harris Administration Announces New Milestone in First-of-its-Kind Supply Chain Initiative

FLOW?is a public-private government/industry partnership aimed at building and increasing the visibility and efficiency of the U.S. supply chain. It involves the collecting, collating, anonymizing, and sharing of data on inland freight hubs, i.e., rail terminals and warehouses, and offers insights into traffic patterns and container import volumes. It provides predictions for future demand, as well as regional capacity, helping members anticipate supply chain disruptions and take early steps to prevent fallout.?

Participants, including ocean carriers, ports, terminals, cargo owners, and railways, can access this secure data through the shared online portal or API. They receive a daily overview of the current state of the overall logistics network—something they would not be privy to in their own operations.

President Biden has addressed the concerns of supply chain disruptions that have been particularly affected by the COVID-19 pandemic. Along with other initiatives, FLOW has the aim of reducing costs for consumers and lowering inflation rates. According to a recent study, the supply chain’s improvement in recent years has been due to over?80% disinflation?in the U.S. since 2022.

The Bipartisan Infrastructure Law (BIL), for instance, is another initiative that shows the DOT’s commitment to investing in supply chains. $450 million in funding from BILL is set aside for programs like the Port Infrastructure Development Program (PIDP) which has been designed to strengthen coastal and inland waterway ports. There are also grants provided for infrastructure projects to deal with trucking bottlenecks and improve the movement of freight.?

In addition to the pandemic, FLOW participants are having to adapt to other challenges such as disruptions caused by drought-related traffic problems in the Panama Canal, and the Red Sea Houthi attacks. DOT has been engaging with those with vested industry interest to effectively manage these changes by using data from FLOW to reduce the impact of these disruptions on freight traffic.

Industry leaders have expressed their support for FLOW, and highlighted its overall value in improving supply chain visibility, leading to better planning, and decision-making. Pete Buttigieg, the U.S. Transportation Secretary, stated that FLOW indicates the Biden-Harris Administration’s dedication to strengthening supply chains in the U.S. which has already helped reduce inflation.?

In addition, Jim McCullen, the CIO of Century Supply Chain Solutions praised the DOT’s work on this platform, underscoring the importance of having a common channel that collects, organizes, and displays important information with the goal of delivering high-quality services to customers. Other companies who have commended the scheme include TrueValue, Land O’Lakes, Inc., Gemini Shippers Association, MSC Group, UPS, and the Port of Los Angeles.?